Ethereum, the second-largest cryptocurrency in terms of market value and the leading altcoin, has once again grabbed attention with its recent developments. Over the past 24 hours, the altcoin has experienced turbulent fluctuations in its price, which appear to be triggered by significant whale activity, as indicated by on-chain data. This surge in activity has resulted in the transfer of more than 150,000 ETH between cryptocurrency exchanges, fueling speculation about the future price movements of Ethereum.
Ethereum Whales Continue to Make Large-Scale Transactions
During Ethereum’s monthly price correction, ongoing transactions by whales have generated mixed sentiments among market participants regarding the altcoin’s future price trajectory. Whale Alert, a platform that publicly monitors major movements on blockchains, has reported that whales transferred 151,593 ETH in the past 24 hours.
While some of these transactions suggest that certain large-scale investors remain confident in the future of the altcoin, others indicate a potential inclination to sell. This situation has contributed to the volatile price trend experienced by ETH in the past day.
Noteworthy movements identified in the on-chain data include a deposit of 1,700 ETH into Coinbase from a wallet address starting with 0x493, commonly known as a smart money address. These addresses belong to investors who consistently achieve significant gains in the cryptocurrency market.
ETH Struggles to Maintain Its Strength
At the time of writing, the price of ETH has declined by 1.85% in the past 24 hours and is currently facing challenges in staying above the critical support level of $3,000. Data reveals that the altcoin’s market value has decreased by 1.86%, while its trading volume has dropped by 16.90% during the same period.
Furthermore, Coinglass data shows a 0.12% increase in open interest on the derivatives side for ETH, while its trading volume has decreased by 24.19%. This situation in the derivatives market could be contributing to the recent turbulent price movements of the altcoin.
In addition, the regulatory uncertainty surrounding the classification of Ethereum as a security and the potential rejection of a spot Ethereum ETF in the U.S. are increasing pressure on the altcoin. Experts caution that it would not be surprising if ETH’s price falls below the $3,000 threshold.
Please note that the information provided in this article does not constitute investment advice. Investors should be aware of the high volatility and risks associated with cryptocurrencies and conduct their own research.
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Disclaimer: The content of this article is for informational purposes only and should not be considered as investment advice. Investors should be aware of the high volatility and risks associated with cryptocurrencies and should conduct their own research.
